Practice Set Joshua Tree Trading

Statement of Financial Position

Name _________________________________ As of December 31,2019
ASSETS
Activity 1
Current Assets    
Below are balance sheet accounts. Classify these Cash
accounts by writing them under their proper columns.   50,000
Accounts Receivable
Cash Land Truck   220,000
Merchandise Inventory,
accounts payable building prepaid rent 12/31,2019   80,000
supplies taxes payable furniture Office Supplies
loan payable (due in accounts   30,000
5yrs) prepaid insurance receivable Prepaid Rent
  100 000
notes payable (due
Total Current Assets
this yr) mortgage payable bonds payable   480,000
notes receivable unearned rent equipment Non- Current Assets    
accrued liabilities Utilities payable Office Equipment
220,000  
Non- Non- Accumulated Depreciation (50,00.00
Current Current Current current ) 170,000
Assets Assets Liabilities Liabilities TOTAL ASSETS
accounts   650,000
cash land payable loan payable LIABILITIES    
prepaid taxes notes
rent truck payable payable Current Liabilities    
accounts unearned bonds Accounts Payable
receivable building rent payable   100,000
prepaid utilities mortage Notes Payable
insurance furniture payable payable   200,000
equipmen accrued TOTAL LIABILITIES 300,000
supplies t liabilities    
notes OWNER'S EQUITY    
  receivable     Tree, Capital, 1/1/2019
  200,000
Problem 1 Less: Withdrawals -50,000
 
Direction: From these randomly ordered accounts of Tree, Capital, 12/31/2019   150,000
Joshua Tree Trading prepare a properly classified
Add: Net Income from
Balance Sheet (in report form). The balances shown
operation   200,000
are as of 12/31/2019.
Total. Owner's Equity
  350,000
Sales Returns and Allowances ₱ 11,000 TOTAL LIABILITIES AND OE   650,000
Accumulated Depreciation 50,000
Merchandise Inventory, December 31, 2019 80,000 Problem 2
Below is the post-closing trial balance of Burgos
Sales 1,050,000
Graphic Services
Merchandise Inventory, January 1, 2019 100,000 Burgos Graphic Services
Purchases 400,000 Post-Closing Trial Balance
31-Dec-19
Selling Expenses 190,000 Cash in
Accounts Payable 100,000 Bank 100,000  
Purchase Returns and Allowances 2,000 Accounts Receivable 480,000  
Cash 50,000 Allowance for Bad Debts   5,000
Office Equipment 220,000 Prepaid Rent 10,000  
Withdrawals 50,000 Office Equipment 660,000  
Sales Discounts 29,000 Accumulated
Depreciation- Office
Transportation-In 10,000 Equipment   60,000
General and Administrative Expense 200,000 Salaries Payable   30,000
Office Supplies 30,000 Accounts Payable   240,00
Accounts Receivable 220,000 Vilma Burgos, Capital   915,000
Notes Payable 200,000 1,250,00 1,250,00
Prepaid Rent 100,000 Total 0 0
Requirement
Tree Capital, Jan. 1, 2019 200,000
1. Write the accounting equation from the post-
Purchase Discounts 8,000 closing trial balance of Burgos Graphic Services
Net Income from operation 200,000 Assets = Liabilities + Owner’s Equity

2. From the post-closing trial balance of Burgos

Graphic Services, prepare a Statement of Financial
Solution: Position (A. Report Form B. Account Form)
 1. Assets = Liabilities + Owner’s Equity / ₱1,185,000 = ₱270,000 + ₱915,000

2. ACCOUNT FORM OF SFP

Statement of Financial Position
Burgos Graphic Service
As of December 31,2019

Assets Liabilities
     
Current Assets Current Liabilities
     
Cash in Bank P100,000 Salaries Payable P30,000
 
Accounts Receivable (P480,000 475000 Accounts Payable 240,000
- P5,000)
 
Prepaid Rent 10,000
     
Total Current Assets 585,000
     
Non-current Assets Total liabilities 270,000
   
Office Equipment (P660,000 - 600,000 Owner's Equity 915,000
P60,000)  
Total Assets P1,18S,000 Total Liabilities and P1.185.000
  Owner's Equity

REPORT FORM OF SFP

Statement of Financial Position
Burgos Graphic Services
As of December 31,2019
Assets  
Current Assets  
Cash in Bank 100,000

Accounts Receivable (P480,000 - P5,000) 475,000

Prepaid Rent 10,000

Total Current Assets 1,185,000

Non-current Assets
 
Office Equipment (P660,000 - P60,000) 600,000

Total Assets P1,18S,00

0
Liabilities
 
Current Liabilities
 
Salaries Payable P30,000

Accounts Payable 240,000

Total liabilities 270,000

Owner's Equity 915.000

Total Liabilities and Owner's Equity P1.185.000